Dollar surges broadly as markets are entering into US session. AUD is trading as the weakest. US treasury yield will be a focus today, on whether 10 year yield could stay above 3% level and challenge 3.035 high.
In particular, USD/JPY breaks through 110.02 resistance to resume recent rally from March low at 104.62. More importantly, it’s holding well within near term rising channel. Next target is 61.8% retracement of 114.73 to 104.62 at 110.86.
On development to watch is the sharp fall in EUR/CHF. The consolidation pattern from 1.2004 is set to extend with another falling leg, likely through 1.1864. That could give EUR extra pressure against USD, JPY and GBP.
